ISDS 3115 Exam 1

What are the 10 strategic OM decisions?

1. Design of goods and services 2. Managing quality 3. Process and capacity strategy 4. Location strategy 5. Layout strategy 6. Human resources and job design 7. Supply chain management 8. Inventory management 9. Scheduling 10. Maintenance

The father of scientific management is a.) Frederick W. Taylor b.) Eli Whitney c.) Henry L. Gantt d.) Henry Ford

a.) Frederick W. Taylor

The person who believed that management must do more to improve the work environment and processes so that quality can be improved was a.) W. Edwards Deming b.) Walter Shewhart c.) Eli Whitney d.) Henry Ford

a.) W. Edwards Deming

The production process at Hard Rock Cafe does NOT include which of the following​ activities? a.) advertising b.) cooking c.) placing raw materials in cold storage d.) receiving

a.) advertising

The service sector constitutes what percentage of employment in the United​ States? a.) between 80% to 90% b.) between 70% to 80% c.) between 60% to 70% d.) between 50% to 60%

a.) between 80% to 90%

Which of the following is NOT one of the three strategic approaches to competitive​ advantage? a.) innovation b.) response c.) differentiation d.) cost leadership

a.) innovation

Which of the following is NOT a characteristic of​ services? a.) standardized product b.) produced and consumed simultaneously c.) intangible d.) unique

a.) standardized product

One advantage of exponential smoothing is the limited amount of record keeping involved. a.) true b.) false

a.) true

The sales force composite forecasting method relies on salesperson's estimated of expected sales a.) true b.) false

a.) true

Which of the following does NOT contribute to​ OM? a.) unsystematic processing of data b.) innovation from physical sciences c.) other disciplines including industrial engineering, statistics, management, and economics d.) information technology

a.) unsystematic processing of data

Which of the following is NOT one of the four reasons that we study​ OM? a.) we want to understand what marketing managers do b.) it is one of the three major functions of an organization c.) we want to know how goods and services are produced d.) it is such a costly part of an organization

a.) we want to understand what marketing managers do

Which of the following best defines​ scheduling? a.) Determines and implements​ long- and​ short-term schedules that effectively and efficiently utilize personnel while meeting customer demands. b.) Determines and implements​ intermediate- and​ short-term schedules that effectively and efficiently utilize both personnel and facilities while meeting customer demands. c.) Determines and implements​ intermediate- and​ short-term schedules that effectively and efficiently utilize personnel while meeting customer demands. d.) Determines and implements​ long- and​ short-term schedules that effectively and efficiently utilize both personnel and facilities while meeting customer demands.

b.) Determines and implements​ intermediate- and​ short-term schedules that effectively and efficiently utilize both personnel and facilities while meeting customer demands.

A global network of organizations and activities that supply a firm with goods and services is referred to as a.) production b.) a supply chain c.) operations management d.) business functions

b.) a supply chain

What is a graphical link of competitive advantage, KSFs, and supporting activities? a.) key success factor network b.) activity map c.) competitive success grid d.) product life style

b.) activity map

Which of the following activities at a commercial bank is NOT an operations​ activity? a.) maintenance b.) auditing c.) security d.) check clearing

b.) auditing

A project organization works best for an organization when the project resides in only one of its functional areas. a.) true b.) false

b.) false

Which of the following is NOT one of the factors that fosters specialization and worldwide supply​ chains? a.) specialized expert knowledge b.) marketing c.) cheaper transportation d.) instant communication

b.) marketing

Which of these is NOT one of the 10 strategic OM​ decisions? a.) scheduling b.) marketing c.) managing quality d.) layout strategies

b.) marketing

Competition in the 21st century is no longer between​ companies; it is between a.) countries b.) supply chains c.) technologies d.) individuals

b.) supply chains

The project organization may be LESS helpful when a.) the work contains complex interrelated tasks requiring specialized skills b.) the job is familiar to the existing organization c.) work tasks can be defined with a specific goal and deadline d.) the project cuts across organizational lines

b.) the job is familiar to the existing organization

In​ general, the supply chain starts with a.) final customer at the retail store b.) the provider of basic raw materials c.) a distributor d.) research and development

b.) the provider of basic raw materials

Which of the following statement is incorrect about the​ mission? a.) The mission statement provides the concept around which the firm can rally. b.)The mission statement provides boundaries and focus for organizations. c.) Each functional area within the firm may develop its own​ strategy, but not its own supporting mission. d.) The mission states the rationale for the​ organization's existence.

c.) Each functional area within the firm may develop its own​ strategy, but not its own supporting mission

The person who introduced​ standardized, interchangeable parts was a.) Henry Ford b.) W. Edwards Deming c.) Eli Whitney d.) Frederick W. Taylor

c.) Eli Whitney

Which of the following is NOT one of the reasons operations managers want to work with their supply chains to viciously cut inventories at every​ level? a.) Inventory requires financial resources. b.) Inventory constrains response to​ ever-shorter product life cycles. c.) Inventory provides safety against​ higher-than expected demand. d.) Inventory hides quality issues.

c.) Inventory provides safety against​ higher-than expected demand.

What is the goal for mass customization? a.) The goal is to enrich jobs and move more decision making to the individual contributor. b.) The goal is to seek creative​ designs, efficient​ production, and​ high-quality goods via international collaboration. c.) The goal is to produce customized​ products, whenever and wherever needed. d.) The goal is to let operations managers work with their supply chain to viciously cut inventories at every level.

c.) The goal is to produce customized​ products, whenever and wherever needed.

A strategy is a.) the purpose for which an organization is established b.) established prior to establishing a mission c.) an action plan to achieve a mission d.) a functional area of the firm

c.) an action plan to achieve a mission

Which of the following is NOT a reason why domestic business operations decide to change to some form of international​ operation? a.) improve the supply chain b.) improve products c.) attract and retain local talent d.) improve operations

c.) attract and retain local talent

Which of the following is NOT considered to be a​ stakeholder? a.) community members b.) customers c.) competitors d.) distributors

c.) competitors

Which of the following is NOT a technique that allows managers to​ plan, schedule, and control​ projects? a.) CPM b.) Gantt charts c.) Factor-rating method d.) PERT

c.) factor-rating method

Which operations function at a manufacturing facility strives for the efficient use of​ machines, space, and​ personnel? a.) production and inventory control process analysis c.) industrial engineering d.) design

c.) industrial engineering

Which of the following trends is NOT part of the exciting OM challenges currently facing operations​ managers? a.) sustainability b.) rapid product development c.) local focus d.) supply chain partnering

c.) local focus

A large percentage of the revenue of most firms is spent on which​ function? a.) research and development b.) marketing c.) operations d.) finance

c.) operations

Which of the following OM decisions determines how a good or service is produced and commits management to specific​ technology, quality, human​ resources, and capital​ investment? a.) human resources and job design b.) managing quality c.) process and capacity design d.) design of goods and services

c.) process and capacity design

Which of the following is NOT considered to be one of the three primary functions that all organizations​ perform? a.) marketing b.) finance/accounting c.) research and development d.) production/operations

c.) research and development

Which of the following activities at an airline is NOT an operations​ activity? a.) flying b.) catering c.) sales d.) crew scheduling

c.) sales

Which of the following organizations does NOT belong to the service​ sector? a.) Costco b.) San Diego Zoo c.) Southwest Airlines d.) Ford Motor Company

d.) Ford Motor Company

Which one of the following statements is incorrect regarding globalization and globalization​ strategies? a.) Globalization strategies could contribute to efficiency. b.) Globalization strategies could add value to products and services c.) Globalization means​ customers, talent, and suppliers are worldwide. d.) Globalization strategies could simplify the operations​ manager's job

d.) Globalization strategies could simplify the operations​ manager's job

Which of the following tasks would NOT typically represent an operations management activity at Hard Rock​ Cafe? a.) designing an efficient layout b.) receiving a shipment of incoming food ingredients c.) preparing an employee schedule d.) filling a tax return

d.) filling a tax return

Which of these is NOT one of the basic functions of the management​ process? a.) controlling b.) leading c.) staffing d.) inspecting

d.) inspecting

The creation of goods and services is referred to as: a.) transformation b.) design c.) formation d.) production

d.) production

Taguchi's quality loss function is based on a a.) linear equation b.) negative exponential distribution c.) binomial distribution d.) quadratic equation

d.) quadratic equation

Which of these statements accurately captures a current trend in​ operations? a.) mass production at the expense of product variety b.) there is increases focus on local market and local competition c.) jobs are increasingly specialized as workers focus on basic assembly tasks d.) rapid product development

d.) rapid product development

The economic activities that typically produce an intangible product are referred to as a.) phantoms b.) goods c.) products d.) services

d.) services

Which of the following is an example of a "hidden" production function? a.) producing a computer b.) assembling a motorcycle c.) manufacturing a television d.) transplanting a liver

d.) transplanting a liver